Sri Kamal De, President

Case of the Complainant, in short, is that he opened a Savings account with HDFC, Haldia branch on 07-05-2010 being account no. 04511000023316.  Subsequently, two more accounts bearing nos.  04511460003719 and 04511460003702 were opened in the names of his daughters.  It is stated that the Complainant somehow lost the concerned debit and credit cards pertaining to his own account and so he obtained new cards after making due applications.  Later on, the Complainant made written applications to close all the three accounts permanently on 17-06-2015 and surrendered the concerned cheque books, ATM card and credit card.  However, it came to his knowledge that the OP bank has not closed his personal account though it has closed the concerned accounts stood in the names of his daughters.  When he approached the Assistant Director, Consumer Affairs & Fair Business Practices, Purba Medinipur for assistance, the OP appeared before it and stated that it has closed the account on 04-09-2015.  However, it is yet to close the credit card account.  It is alleged that the representatives of OP is harassing him by making repeated calls over phone to activate the newly issued credit card.  Hence, this case.

It is the case of the OP that the Complainant applied for availing a credit card from the OP bank.  Pursuant thereto and believing in the representations made by the Complainant, the OP bank issued a credit card bearing no. 4346786001353525  with 100% auto debit facility in favour of the Complainant with a credit limit of Rs. 50,000/-.  The Complainant has been using the said credit card and the OP regularly raised statements which have been duly received by the Complainant. However, the Complainant has been irregular in making payment of full amount and as such, a substantial amount became due and payable in respect of his credit card account.  Subsequently, sometimes in December, 2014, the Complainant reported loss of his subject credit card and so a new credit card bearing no. 4893772200111322 was issued to him.  The Complainant substantially utilized the said credit card.  He also used the same for payment of premium in respect of HDFC ERGO Insurance Policy which would be evident from the statement dated 05-05-2015.  Upon the request of the Complainant, the premium amount was converted into EMI.  In spite of receipt of statements regularly, the Complainant failed and/or neglected to clear the outstanding.  The Complainant lastly paid a sum of Rs. 310/- on 31-07-2015.  As such, as on date, a sum of Rs. 12,258.72 is due and payable by the Complainant under the said credit card account. 

   Point for consideration

The crux of the controversy is whether the Complainant is entitled to get the relief as prayed for, or not.

Decision with reasons

It appears that the petitioner opened a savings account with HDFC, Haldia branch being account no. 04511000023316 on 07-05-2010.  Later on, two other accounts were also opened in the names of two daughters of the Complainant being account nos. 04511460003719 and 04511460003702.  The petitioner also received debit card (ATM) and credit card related to the first account, but both the cards were lost.  The petitioner then, on application, received a new credit card bearing no. 4893772200111322 in the month of March, 2015.  The whole controversy hovers around the said credit card.  From the documents on record, it also appears that the petitioner approached the OP bank with a written application on 17-06-2015 to close all the three accounts and accordingly, all the accounts were closed.  The Complainant also surrendered the cheque book, ATM card and the Credit card, as stated by the Complainant. 

From the version of the OP bank, it appears that all the 3 accounts were closed by the OP bank and the account no. 04511000023316 was closed on 04-09-2015.  In filing written version, the OP bank confirmed before this Forum that the savings bank account no. 04511000023316 has also been duly closed on 04-09-2015.  The OP bank has come up with the case that the Complainant availed a HDFC ERGO Insurance policy by his credit card bearing no. 4893772200111322 for a premium of Rs. 6,111/- and a bill of Rs. 6,111/- was billed towards the premium which will be available from the statement dated 05-05-2015, as annexed with the supplementary affidavit. It is also stated that on the request of the Complainant, the said premium amount was converted into EMIs which were payable in 24 EMIs @ Rs. 291.10 commencing from 05-05-2015 to 05-04-2017.  It is argued from the side of the OP that the Complainant was fully aware about his liability to pay the EMIs towards the premium amount together with other charges, but the Complainant failed and neglected to pay the same.  Due to non-payment of his dues, outstanding kept on increasing.  The Complainant defaulted in clearing the premiums.  As such, as on date a sum of Rs. 12,258.76 is due and payable by the Complainant under the said credit card account.  The OP alleged that the Complainant has suppressed all material facts and as such, he is not entitled to any order for non-payment of credit card amount.

It is stated by the OP that the Complainant purchased HDFC ERGO Insurance policy through his credit card for a premium of Rs. 6,111/-.  But, we are afraid, no HDFC ERGO Insurance policy is forthcoming before us.  OP has not filed any such policy before this Forum for the reason best known to it.  It is not also appearing before us that the Complainant applied for such policy or signed on any document for obtaining any such insurance policy.  We know that for obtaining any insurance policy, the incumbent is to fill in proposal form.  But, we are afraid, no such proposal form on behalf of the Complainant is produced before us.  We have no document before us save and excepting the credit card statement dated 05-05-2015.  The statement is not supported by any supporting HDFC ERGO Insurance Policy.  It is categorically denied by the Complainant that he applied for such ERGO Insurance Policy.  It is also stated from the side of the Complainant that the new debit card being no. 4893772200111322 had never been activated by the Complainant.  The question remains, if the same has not been activated by the customer, how the bank authority can activate it without the consent of the customer?  The question also remains how the bank can open up HDFC ERGO Insurance Policy without the consent or proposal of the customer.  Moreover, it appears that the petitioner applied for the new credit card and received the same in the month of March, 2015.  From the statement dated 05-05-2015, it appears that HDFC ERFO premium of Rs. 6,111/- is issued on 24-04-2015.  Save and excepting the statement, the OP bank has not produced any proposal form or hard copy of the HDFC ERGO Insurance Policy before us.  So, we are not convinced that the OP acted properly in issuing such ERGO insurance policy as against said credit card of the Complainant.  Such act of the bank is unwarranted in law.  We also place no reliance upon the alleged statement of accounts.

Under the present circumstances, we are inclined to direct the OP bank to close the credit card account immediately.  OP bank has acted on its own in opening the HDFC ERGO Insurance Policy and also converting it into EMIs in 24 equal monthly instalments.  The claim of the bank deserves no consideration.  We think that the bank has committed deficiency in service as defined u/s 2(g) of the Consumer Protection Act, 1986.  As other accounts have already been closed by the OP bank, let the credit card account be also closed immediately; more so, when it is alleged by the Complainant that debit card has not been operated by him. We, however, pass no order for compensation in the facts and circumstances of the case.

Hence,

ORDERED

that C. C. No. 29/2016 be and the same is allowed in part on contest against the OP.  OP is directed to close the credit card account being no. 4893772200111322 with immediate effect without claiming any amount from the Complainant as against this credit card account.  OP is also directed to pay a litigation cost of Rs. 10,000/- to the Complainant within 15 days from the date of this order, i.d., the Complainant would be at liberty to execute this order in accordance with law in which case, OP shall be liable to pay fine @ Rs. 100/- per diem from this day till full and final payment is made. We make no order as to compensation.